E*Trade Expands E*Arsenal

E*Trade Financial is still nursing the bruises its banking operation received in the mortgage crisis. Its focus these days is on discount brokerage, where the firm wants to persuade customers that it isn't just a place to trade, but a place to invest, CEO Steven Freiberg told us recently.

The former Citigroup exec, who was named to the top spot in 2010 and last year became interim chairman, too, noted that Schwab customers hold, on average, 35% of their assets in their accounts, while E*Trade clients tend to hold just...